{"id":10567,"date":"2019-01-14T12:59:38","date_gmt":"2019-01-14T11:59:38","guid":{"rendered":"https:\/\/tunal-stb.de\/private-car-use-cost-capping\/"},"modified":"2023-07-21T09:35:36","modified_gmt":"2023-07-21T07:35:36","slug":"private-car-use-cost-capping","status":"publish","type":"post","link":"https:\/\/tunal-stb.de\/en\/private-car-use-cost-capping\/","title":{"rendered":"Private car use: cost capping"},"content":{"rendered":"<section class=\"l-section wpb_row height_large\"><div class=\"l-section-h i-cf\"><div class=\"g-cols vc_row via_grid cols_1 laptops-cols_inherit tablets-cols_inherit mobiles-cols_1 valign_top type_default stacking_default\"><div class=\"wpb_column vc_column_container\"><div class=\"vc_column-inner\"><div class=\"wpb_text_column\"><div class=\"wpb_wrapper\"><p><strong>Private car use &#8211; cost capping<\/strong><\/p>\n<\/div><\/div>[vc_separator][vc_single_image image=&#8221;5499&#8243; img_size=&#8221;full&#8221;][ultimate_heading main_heading=&#8221;Private PKW-Nutzung: Kostendeckelung&#8221; alignment=&#8221;left&#8221;][\/ultimate_heading][vc_separator css=&#8221;.vc_custom_1547462534290{margin-bottom: 20px !important;}&#8221;]<div class=\"wpb_text_column\"><div class=\"wpb_wrapper\"><h2>If an entrepreneur uses a company car<\/h2>\n<p>also for private purposes, he has to pay tax on a withdrawal of use to this extent. The amount of the withdrawal is measured<\/p>\n<\/div><\/div><div class=\"wpb_text_column\"><div class=\"wpb_wrapper\"><ul>\n<li>if a proper driver&#8217;s logbook is kept, according to the proven actual expenses<\/li>\n<\/ul>\n<p>or<\/p>\n<ul>\n<li>according to a flat-rate amount of <strong>1%<\/strong> per month of the domestic gross list price of the passenger car; the prerequisite here is that the business use of the passenger car is more than 50%.<\/li>\n<\/ul>\n<\/div><\/div><div class=\"wpb_text_column\"><div class=\"wpb_wrapper\"><p>In the event that the value of use determined according to the 1% rule is higher than the total costs actually incurred (e.g. in the case of passenger cars acquired second-hand or depreciated), the withdrawal of use can be limited to the amount of the <strong>total costs<\/strong> according to administrative practice (&#8220;cost capping&#8221;). The Federal Fiscal Court (Bundesfinanzhof) also rejected a cap of 50% of the total costs beyond this; the court explained that the flat-rate 1% rule can be avoided by keeping a driver&#8217;s logbook.<\/p>\n<p>This decision has been criticized, in particular with the argument that if the business use exceeds 50%, the private use share can at most be close to 50%. As a constitutional appeal has been lodged against the ruling of the Federal Fiscal Court, further developments will have to be awaited.<\/p>\n<\/div><\/div><div class=\"wpb_text_column\"><div class=\"wpb_wrapper\"><h2>The cost cap could lead to a benefit,<\/h2>\n<p>if vehicle costs relating to the entire period of use &#8211; in particular <strong>special lease payments<\/strong> &#8211; are paid in advance in the first year and also have a full impact as operating expenses in the first year. This may occur in the case of profit determination by means of revenue surplus calculation.<\/p>\n<p>Thereafter, in subsequent years, the withdrawal of use would be limited to the (lower) business expense deduction. In this case, however, the tax authorities are of the opinion that a special lease payment should be allocated to the respective periods of use (corresponding to the term of the contract) for the purposes of cost recovery.<\/p>\n<\/div><\/div><div class=\"wpb_text_column\"><div class=\"wpb_wrapper\"><p><strong>(You can find a corresponding example in our information letter 01\/2019, which you can subscribe to free of charge on our site).<\/strong><\/p>\n<p><em>Without distribution of the special lease payment, the capping in years 02 and 03 would result in usage withdrawals of only EUR 2,000 (corresponding to the ongoing total annual costs); in year 01, the flat-rate usage value of EUR 18,000 would have to be applied (amounts in parentheses). If the special payment is distributed, on the other hand, this results in a withdrawal of use of 17,000 euros for each year (pro rata special payment of 15,000 euros plus 2,000 euros car costs).<\/em><\/p>\n<\/div><\/div><div class=\"g-cols wpb_row via_grid cols_1 laptops-cols_inherit tablets-cols_inherit mobiles-cols_1 valign_top type_default stacking_default\" style=\"--columns-gap:3rem;\"><div class=\"wpb_column vc_column_container\"><div class=\"vc_column-inner\"><div class=\"wpb_text_column\"><div class=\"wpb_wrapper\"><p><strong><em>(For further comments, information and examples, please refer to our <a href=\"https:\/\/adiuvat.eu\/newsletter\/\" target=\"_blank\" rel=\"noopener\">Information Letter 01\/2019<\/a>).<\/em><\/strong><\/p>\n<\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/section><section class=\"l-section wpb_row height_large\"><div class=\"l-section-h i-cf\"><div class=\"g-cols vc_row via_grid cols_1 laptops-cols_inherit tablets-cols_inherit mobiles-cols_1 valign_top type_default stacking_default\"><div class=\"wpb_column vc_column_container\"><div class=\"vc_column-inner\">[vc_masonry_media_grid grid_id=&#8221;vc_gid:1547462925854-94a12d7d-9885-5&#8243; include=&#8221;6226,6225,6224&#8243;][vc_message]\n<h2 class=\"widget-title\"><strong>A) Newsletter order<\/strong><\/h2>\n<p>Always be well informed, do not miss any news! With our newsletter service you will always receive current information about our office and this conveniently by e-mail (e.g. changed opening hours, etc.). Of course, you can easily unsubscribe from the newsletter at any time. At the end of each newsletter you will find a corresponding unsubscribe link. To do this, simply enter your e-mail address&#8230;<\/p>\n<div><\/div>\n<h2 class=\"widget-title\"><a href=\"https:\/\/adiuvat.eu\/newsletter\/\" target=\"_blank\" rel=\"noopener\"><strong>B) Subscribe to information letter<\/strong><\/a><\/h2>\n<div class=\"textwidget\">\n<p>Convenient by e-mail. To subscribe, simply enter your email address and you will be sent the latest version of our information letter.<br \/>\nYour advantage when registering: You will always receive this up to date at the beginning of each month.<\/p>\n<div><\/div>\n<h2 class=\"widget-title\"><strong>C) Subscribe to blog via email<\/strong><\/h2>\n<form id=\"subscribe-blog-blog_subscription-2\" accept-charset=\"utf-8\" action=\"#\" method=\"post\">\n<div id=\"subscribe-text\">\n<p>Enter your email address to subscribe to this blog and receive notifications of new posts via email.<\/p>\n<\/div>\n<\/form>\n<\/div>\n[\/vc_message][ultimate_spacer height=&#8221;50&#8243;]<div class=\"wpb_text_column\"><div class=\"wpb_wrapper\"><p style=\"text-align: center;\">Neumann &amp; Walczak &#8211; tax consulting company GmbH &#8211; Robert-Bosch-Strasse 1 &#8211; 59439 Holzwickede<\/p>\n<p style=\"text-align: center;\"><span class=\"Stil6\"><br \/>\n  <span class=\"Stil42\">Neumann &amp; Walczak Tax Consultants &#8211; Partnership &#8211; <\/span><br \/>\n<\/span>Robert-Bosch-Strasse 1 &#8211; 59439 Holzwickede<\/p>\n<hr>\n<p style=\"text-align: center;\">Website: www.neumann-walczak.de &#8211; E-mail: info@neumann-walczak.de<\/p>\n<p style=\"text-align: center;\"><span class=\"Stil39\">Phone: (0049) 02301 &#8211; 91 291 0 &#8211; Fax: (0049) 02301 &#8211; 91 291 21<\/span><\/p>\n<\/div><\/div><\/div><\/div><\/div><\/div><\/section>\n","protected":false},"excerpt":{"rendered":"Private car use &#8211; cost capping [vc_separator][vc_single_image image=\"5499\" img_size=\"full\"][ultimate_heading main_heading=\"Private PKW-Nutzung: Kostendeckelung\" alignment=\"left\"][\/ultimate_heading][vc_separator css=\".vc_custom_1547462534290{margin-bottom: 20px !important;}\"]If an entrepreneur uses a company car also for private purposes, he has to pay tax on a withdrawal of use to this extent. The amount of the withdrawal is measured if a proper driver&#8217;s logbook is kept, according to...","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1006,535],"tags":[1134],"class_list":["post-10567","post","type-post","status-publish","format-standard","hentry","category-car","category-information-letter","tag-car-use"],"acf":[],"_links":{"self":[{"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/posts\/10567","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/comments?post=10567"}],"version-history":[{"count":2,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/posts\/10567\/revisions"}],"predecessor-version":[{"id":10614,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/posts\/10567\/revisions\/10614"}],"wp:attachment":[{"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/media?parent=10567"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/categories?post=10567"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/tags?post=10567"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}